The Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee (Amendment and Validation) Bill, 2025 significantly expands the scope of the state’s Pre-GST amnesty scheme, offering a time-bound opportunity for public sector entities to resolve long-standing tax arrears. The amendment broadens eligibility beyond PSU companies to include government departments, corporations, public sector banks, local bodies, and statutory authorities, while providing substantial waivers on disputed tax, interest, penalties, and late fees.
With retrospective effect from 21st March 2025, the scheme ensures legal continuity and wider applicability, allowing public institutions to regularize pending tax liabilities under pre-GST laws in a streamlined and cost-effective manner. This blog outlines the key provisions, benefits, and practical considerations for entities considering participation in Maharashtra’s expanded settlement scheme.
